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Slow Ride Corp. is evaluating a project with the following cash flows: Year: Cash Flow: 0 $28,000 1 10,200 2 12,900 3 14,800 4 11,900

Slow Ride Corp. is evaluating a project with the following cash flows:

Year: Cash Flow:
0 $28,000
1 10,200
2 12,900
3 14,800
4 11,900
5 8,400

The company uses a 9 percent interest rate on all of its projects. Calculate the MIRR of the project using all three methods.

a) MIRR using the discounting approach.

1. 17.92%

2. 16.53%

3. 16.88%

4. 17.4%

5. 18.27%

b) MIRR using the reinvestment approach

1. 13.72%

2. 13.03%

3. 14.41%

4. 14.13%

5. 13.31%

c) MIRR using the combination approach

1. 13.65%

2. 12.35%

3. 12.61%

4. 13.39%

5. 13%

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